Law Summary
Remuneration and Payment Structure
- Salary split: 60% paid by employer in cash, 40% paid by government either in cash or for tuition, books, daily allowance.
- LGUs may fully pay the beneficiary's salary; for low-income LGUs, government’s share may increase to 75%.
- National government pays its share within 30 working days upon submission of employer’s report.
- In case of sickness, absence, or death, heirs may claim the salary subject to proof.
- Beneficiaries entitled to social protection via GSIS insurance coverage for one year.
Implementing Rules and Guidelines
- Department of Labor and Employment (DOLE) tasked with issuing implementing rules and regulations (IRR).
- DOLE Secretary authorized to issue additional guidelines as necessary.
Program Administration and Appropriations
- DOLE responsible for operationalizing the program and maintaining a beneficiary database/registry.
- Funding authorized through General Appropriations Act starting 1992 and thereafter.
- Congressional appropriations for the program must not be less than the prior year’s and shall be automatically released.
- Appropriations shall increase by at least 20% annually.
Legal Provisions
- Separability Clause ensures that if any provision is declared unconstitutional, the rest remain valid.
- Repealing Clause annuls conflicting laws, orders, proclamations, and regulations.
- Effectivity Clause: The Act takes effect 15 days after publication in the Official Gazette or two newspapers of general circulation.